USD/Asia Pairs Mostly Higher, Weaker Equities, Higher USD Index Weigh

Asian currencies are weaker across the board, although PHP spot has risen a touch against the USD so far today. Equity headwinds in part of the region are evident, while the USD is firmer against the majors. These headwinds along with a weaker yuan are likely weighing on sentiment elsewhere.

• USD/CNY is back close to Friday highs near 7.2300. Onshore and HK equities are weaker in the first part of trade, although away from worst levels. USD/CNH is up as well, but hasn't breached the 7.2600 level.
• 1 month USD/KRW is consolidating above 1340 (last near 1343), although we haven't tested 1345 yet. Onshore equities are weaker in the first part of trade.
• Spot USD/TWD and the 1 month NDF are close to 32.00. Comments from CBC Governor Yang don't suggest a follow up hike is likely. The Governor stating inflation between 0-2% is acceptable, while recent TWD weakness has been USD driven.
• Spot USD/IDR is close to fresh YTD highs, last near 15840. Portfolio outflows from offshore investors look to be a headwind, particularly in the bond space. We would be mindful of BI intervention if the pair accelerates towards 15900.
• USD/MYR is back above 4.7300, but sub recent highs above 4.7400. USD/PHP is back under 56.30, with near term resistance seemingly evident on moves into the 56.30/40 region.
• USD/THB spot is back to 36.40, not too far off recent highs near 36.50. This is around 0.30% weaker in baht terms for the session so far.